Cycle Tourism Market Size, Share & Trends Analysis Report By Group, By Booking Mode (Direct, Travel Agent, Marketplace Booking), By Age Group, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global cycle tourism market size was valued at USD 116.73 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 9.1% from 2023 to 2030. The growth of the global market is driven on account of a significant rise in the number of cycling participants traveling a long distance, increasing penetration of adventure camping and adventure sports among millennials, and government initiatives to develop domestic and international tourism across the economies.

The demand for cycle tourism is growing across the globe, accelerated by the COVID-19 pandemic and consumer-driven ventures to explore nature. Cycling tourism is expected to bring several local and international business expansion opportunities, including an experience with the local community, and the growth of the global e-bike industry.

Additionally, businesses and governments across growing economies are capitalizing on cycle tourism strategies as a means of sustainable economic development opportunities and gaining economic benefits for communities and states. For instance, in December 2019, the Finnish transport and communications agency, Traficom, awarded government grants to new projects that promote active, sustainable, and safe travel to school and promote cycling tourism, with the establishment of a coordination center for cycling tourism in Finland. Such initiatives are expected to drive market growth in the upcoming years and enable economies to make a move toward sustainable development.

During the spread of COVID-19, the cycling tourism industry witnessed a major setback, with tour operators observing limited bookings and financial downturns. Particularly for economies in the Asia-Pacific and Europe regions, the tourism industry remained one of the most severely impacted sectors by the COVID-19 pandemic. Governments in these regions and others took major steps to lessen the economic blow to people and companies. Some governments across the globe provided the sector with financial assistance, either directly or through concessional loans and guarantees.

Vanuatu provided incentives to small and medium-sized firms, while Thailand invested USD 700 million to promote domestic tourism. While the unprecedented COVID-19 situation caused (hopefully temporary) difficulties for businesses involved in the cycling tourism industry, it has also significantly increased cycling and cycle tourism. As the pandemic ended, the cycle tourism sector is expected to grow in the coming years and evolve with the introduction of sustainability policies, demand for low-impact holidays, emergence of e-cycles, and growing need for cycling as an exercise for maintaining physical health.

The introduction of e-bikes is anticipated to be one of the major trends driving the growth of the market. The demand for e-bike trips is rising along with the popularity of cycling tourism. E-bikes provide a fantastic opportunity for people to pedal in more difficult terrain and for older people to be active. These bicycles also have hybrid designs that let riders choose how to use the electric motor. This allows the rider the choice of conserving energy on difficult terrain or riding the bicycle in the usual manner, without reducing the experience of cycling for the tourist.

According to the statistics published by World Economic Forum (WEF), the sales of electric bikes in the U.S. jumped by 145% in 2020 and are expected to showcase an upward growth trajectory in the coming years. Additionally, in its annual 2022 Industry Trends Snapshot, the Adventure Travel Trade Association (ATTA) conducted research on cycling tourism and identified e-bike adventure activities as "Hot Trending." Customers are requesting e-bike activities, which are being discovered by more and more tour operators globally.

Through a variety of channels, including direct sales, advertisements, discounts, and package deals with other offers, travel & tourism companies are promoting cycle tourism. However, social media users have driven the growth of the cycling tourism industry as a result of vlogs that social media influencers post on YouTube, Facebook, Instagram, and other platforms. By witnessing the joy and excitement in the film, millennials are more inclined to pursue adventure travel. Additionally, there are several social media platforms dedicated to bicycle tourism that attract interested people, forming groups and booking schedules for cyclists. This is further expected to boost the demand over the forecast period.

Group Insights

The group segment captured around 45% market share in 2022. The demand for cycling tourism has grown exponentially among traveler groups, on account of the rise in the demand for outdoor recreational activities as a part of physical activities and sustainable travel. Additionally, these groups spend heavily on hotel stays, pubs, and cafes, which has turned out to be a major growth catalyst for the global economy. Tour operators are organizing various cycling events such as charity or fund-raising ventures in cooperation with local clubs to target these groups, resulting in growing cycling participation in terms of tourism.

The solo cycle travel segment is expected to expand with a CAGR of 8.9% over the forecast period. The demand for solo trips has grown considerably in recent years. Pre-pandemic, according to data from Booking.com, only 14% of passengers traveled alone; by the middle of 2021, however, that percentage had nearly doubled to 23%. Moreover, according to Google Trends, solo travel-related searches had increased by a staggering 761.15%. Male and female cycle travelers are increasingly choosing to travel alone and embrace their individuality. Tour operators are focusing on capitalizing on the trend of solo traveling by organizing solo tours, including a variety of adventurous activities, and providing discount coupons reserved solely for solo travelers. This has helped the market to flourish even further.

Booking Mode Insights

The direct booking segment dominated the global market in 2022. It accounted for over 60% of the revenue share. The growth is mainly driven by rising internet and credit card usage, rising consumer purchasing power, and a push by governments to promote sustainable tourism. Simple and effective ways are being developed to make traveling easy and enjoyable as a result of technological innovation and the growing use of mobile devices, fueling the expansion and development of direct travel booking. Additionally, the rising demand for sustainable tourism among millennials is expected to constructively add to the market growth.

The marketplace booking segment is expected to expand at a CAGR of 9.9% over the forecast period. The growth of marketplace booking is expected to be driven by a consumer shift toward online booking services due to the wide variety of offered tour packages and ease of selecting different services, and the growing influence of social media. Some of the leading marketplace tour service providers are Booking Holdings, Expedia, Airbnb, Trip.com, Tripadvisor, etc. Customers' rising need for unique and original travel experiences is anticipated to fuel market expansion throughout the projected period. Additionally, the market is expected to be driven by expanding digital technologies, continuously changing consumer spending patterns, and escalating urbanization.

Age Group Insights

The 31 to 50 age group segment dominated the global market in 2022. The progressive rise in the number of adventure travelers from this age range is the key factor fueling the segment's growth. Additionally, travelers in this age group choose soft adventure trips and packages and are willing to spend money on engaging travel experiences. This age group is also expected to increase soon due to consumer demand for soft experiences and willingness to spend money on travel and tourism.

The 18 to 30 age group is expected to showcase strong growth, advancing at a CAGR of 9.9% over the forecast period. According to the statistics published by WYSE Travel Confederation and UNWTO, young travelers represent 20% of the overall travel and tourism economy. They are significantly influenced and regularly inspired to travel as a result of social media. This age group is thus expected to contribute significantly to the cycle tourism sector over the forecast period. Moreover, there are more travel-related blogs and videos on social media, which analysts think will have a big influence on Gen Z visitors' purchasing decisions.   

Regional Insights

Europe captured the largest market share around 40% in 2022 and is expected to maintain the same growth over the forecast period. The demand for cycling tourism has grown exponentially in the U.K., Germany, France, and other economies. The presence of bicycle lanes, car-free city centers, greater bike storage facilities, and increased safety are all priorities for European governments.

For instance, in August 2020, European Cyclists’ Federation (ECF) launched the #RestartCycleTourism initiative to boost regional cycling tourism. Weekend biking is becoming more popular as it is quicker, easier, and healthier to ride to work and school across Europe. Additionally, Europeans travel individually more frequently than those in other areas. Most people in Europe organize their bicycle trips.

The Asia Pacific region is expected to expand with a CAGR of 10.1% over the forecast period. Increased emphasis by regional governments on the expansion of the cycle tourism sector due to its economic advantages is the factor causing the market to expand. The acceptance of e-bikes among the public in China, Japan, and India is being influenced by growing environmental concerns brought on by pollution, which is a key driver of the expansion of the regional cycle tourism industry.

Key Companies & Market Share Insights

Some of the major companies operating in the global market are SpiceRoads Cycling, World Expeditions, Travel + Leisure Holdco, LLC, Exodus Travels Limited., Intrepid Travel, G Adventures, Himalayan Glacier Adventure and Travel Company, Sarracini Travel, Arbutus Routes, and Austin Adventures. These key companies are focusing on taking major initiatives to strengthen their market position and offer authentic and immersive travel experiences to travelers across the world.

• In December 2022, Intrepid Travel launched its new U.S. adventure tour packages. The new trips combine outdoor athletic excursions like cycling and walking with itineraries that highlight sightseeing and cuisine

• In August 2021, SpiceRoads Cycling launched a new bicycle tour package to Colombia, Latin America, to enable tourists to discover Latin American natural beauty and diversity. Colombia has one of the most vibrant and successful cycling cultures in the world, and its citizens value bicycling and the stunning sport of riding

Some prominent players in the global cycle tourism market include:

• SpiceRoads Cycling

• World Expeditions

• Travel + Leisure Holdco, LLC

• Exodus Travels Limited.

• Intrepid Travel

• G Adventures

• Himalayan Glacier Adventure and Travel Company

• Sarracini Travel

• Arbutus Routes

• Austin Adventures

Cycle Tourism Market Report Scope

Global Cycle Tourism Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global cycle tourism market report based on group, booking mode, age group, and region:

• Group Outlook (Revenue, USD Billion, 2017 - 2030)

  • Groups/Friends

  • Couples

  • Family

  • Solo

• Booking Mode Outlook (Revenue, USD Billion, 2017 - 2030)

  • Direct

  • Travel Agent

  • Marketplace Booking

• Age Group Outlook (Revenue, USD Billion, 2017 - 2030)

  • 18 to 30 Years

  • 31 to 50 Years

  • Above 50 Years

• Regional Outlook (Revenue, USD Billion, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

    • France

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa